TPL Corp Limited reported consolidated loss per share of PKR 12.19 in FY24 against a loss per share of PKR 1.77 in FY23. Furthermore, in 1QFY25 the company reported consolidated loss per share of PKR 3.49 against earnings per share of PKR 0.28 in SPLY.
In TPL Insurance, despite the economic slowdown, the motor segment saw a year-on-year (YoY) increase of 9%, amounting to 3 billion, while the property segment recorded a YoY rise of 26%, totaling 759 million. The merger with NHIC, a Pakistan branch of AIG Insurance, resulted in a surplus of Rs. 1.078 billion. In TPL Life, gross margins increased by 11%, driven by an 82% rise in the retail segment, though the corporate segment saw a 70% drop, reflecting the company’s strategic pivot toward retail.
TPL Trakker holds a leading 39% market share in the telematics segment and is the only listed company in Pakistan involved in the tracker business. Overall, TPL Trakker’s revenue grew by 15%, with significant growth exceeding four times in the IIOT segment. Trakker Middle East has formed a strategic partnership with Gargash Group, which will inject fresh equity for acquiring a 50.1% stake.
The legal processes were completed in November 2024, and the equity injection is expected by December 2024. In TPL Properties, the Hoshang project is expected to be completed by FY26. Regarding the technology park, they plan to sell the Korangi land due to investor concerns and relocate closer to the mangroves. Negotiations for the sale are ongoing. The technology park land is profitable, and they anticipate an exit soon.
Looking ahead, as interest rates decline, they expect increased vehicle sales, leading to higher profits for the tracker and insurance businesses. Additionally, the company has Rs. 4.5 billion in debt, and a sharp fall in interest rates is expected to positively impact the bottom line.
Important Disclosures
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